Soon after PVI was formed, Jack Tramiel heard PVI approached Atari and filed a ("exploratory") lawsuit against them, claiming they stole trade secrets. PVI were forced to disclose details of their VCS project. Tramiel insisted that was his product, and pursued the case. The Graduate was ultimately cancelled by James Morgan when he took over as the new Atari CEO in 1983. An ongoing lawsuit against PVI by Commodore was likely the main motivating reason for its cancellation. PVI eventually won, but it cost them several years and approximately $300,000.

There were 3 other companies that worked on VCS keyboard peripherals, only one of which was released: